After one year of Samsung’s presence in Taylor, the city has concrete evidence of a significant upswing in revenue coming into its coffers, and other economic benefits.
“When Samsung announced the selection of Taylor as the site for its new semiconductor fabrication plant, the council understood it represented a transformative event in the history of our city,” said Mayor Brandt Rydell, who was instrumental in bringing the chip manufacturer to Taylor. “Even though these are still early days for Samsung in Taylor, we are already seeing incredible benefit from its presence in our community.”
Samsung Austin Semiconductor’s Vice President Jon Taylor echoed this view of a rising tide.
“In the year since Samsung Electronics’ announced we were investing in Taylor and building a $17 billion semiconductor manufacturing facility in the town, the growth experienced across the area has been exceptional,” Taylor said. “Over the past 12 months, we’ve worked with the community and stakeholders to make sure we are a good neighbor. We’ve been engaged in community events, donated more than $1 million to area nonprofits and we also implemented a new internship program with the Taylor Independent School District.
Last week, the municipality released the actual and cumulative sales tax numbers for the month of November, and they reportedly show a 113% increase in the sales and use tax revenue over November of 2021, and a 46% increase of cumulative sales and use tax revenue for the year over where the city was at this time last year.
“The sales and use tax revenue reported for the city in November 2022 was $1,242,415, which is an increase of more than $660,000,” said city spokesperson Stacey Osborne. “The cumulative sales and use tax revenue thus far in 2022 is $8,055,460, over $2.5 million more than the same time in 2021.”
Osborne said this kind of increase in revenue can help lower taxes in other areas as well.
“Increased sales tax revenue is a positive for Taylor residents for several reasons,” Osborne said. “When sales and use tax revenues are up, it can help lower the property tax rate. Between the increased construction use taxes from the Samsung Semiconductor construction project, and an influx of visitors and businesses in our city, the city has seen an upward trend in sales and use tax numbers that we expect will continue in the coming years.
Industry leaders say the effect of an investment of this size is just the beginning of an upward cycle of growth for our area overall, due to the new jobs and other investments.
“Those jobs are basically a seed being planted that is going to sprout and create many additional jobs in the community,” said Dale Craymer, the president at Texas Taxpayers and Research Association, at the Greater Taylor Chamber of Commerce’s Pre-Legislative Summit Sept. 7. “The workers that take a position at Samsung they are going to need a home, and that is going to spark the construction industry, they are going to want to eat out in the community, and that is going to create new restaurants, new dining opportunities. They are going to need their hair cut, so we are going to have more barbers. Samsung itself is going to require more contract work at the facility. So we are looking at a tremendous resurgence in American manufacturing jobs, and each one of those jobs is going to create another half a dozen or so within the community.”
And Rydell said the good news does not end there.
“Samsung has demonstrated it is poised to be a valued corporate citizen and community partner, having donated more than a million dollars to local entities, sponsoring and participating in community events, and sending volunteers to work in the schools and with Taylor charities,” he said. “The Taylor City Council continues to look forward to a long and mutually beneficial relationship between Samsung and our community for decades and generations to come.”
Taylor echoed that Samsung is here to stay.
“We are proud to be a part of the Taylor community and we will continue to build upon the relationships that we have formed over the past year,” Taylor said.
